Hon David Parker
Minister for Land Information

13 October 2006

Government wants sustainable high country farming

The government is committed to high country farming that is environmentally sustainable and economically viable, says Land Information Minister David Parker.

The Minister was commenting on today’s release of a report by a panel of valuers on the valuation methodology used to set rents for South Island high country pastoral leases and in the tenure review process. Also released was a preliminary government response to the report.

“The government wishes to emphasise that it values the contribution of sustainable high country farming to the New Zealand economy and
South Island rural communities. We want that contribution to continue, and are sure it will.

The Crown charges rent on its high country pastoral lease land at an annual rate of 2 per cent of its value (exclusive of improvements).

“The value of the Crown's interest in this land is greater than in the past, because of the market demand for amenity values such as views and landscapes, and exclusive access rights to them. As a result, the rent the Crown receives should increase.

"However, we want to discuss with high country farmers ways to achieve outcomes that are fair and reasonable for both parties and durable.

“I realise that high country leaseholders have been waiting quite a long time to see the report and the government response, and I thank them for their patience. I wanted to make sure that all relevant issues had been satisfactorily addressed and a good process was in place for consultation," David Parker said

“I encourage leaseholders and other stakeholders to consider the report and the preliminary government response carefully and make their views known to my department, Land Information New Zealand.

“The South Island high country is a special part of New Zealand. There are competing interests but if people can continue to work together, I am confident that we can achieve a positive future for all,” the Minister concluded. See also:

ENDS

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